European tourism needs 375 billion euros to recover from Covid-19 impact, says report

Lisbon: Tourism in European Union requires an estimated 375 billion euros to recover from the crisis generated by COVID-19 pandemic and to restore operations according to the European Travel Commission (ETC), Xinhua news agency reported after citing local media on Sunday.

“The European Union (EU) estimates are around 255 billion euros to help the Member States recover the industry, and around 120 billion euros more for extra investment to help entrepreneurs and operators to restore operations,” ETC Executive Director Eduardo Santander said in an interview with Portuguese Lusa News Agency.

With European tourism stagnating, due to restrictive measures adopted by the member states of the EU to try to contain the pandemic outbreak, including with limitations on travel between countries, “tourism has gone from 100 per cent to zero” and today is “reduced to practically 10 per cent of what it was,” given the total losses, Santander was quoted as saying.

“Everything is equally affected by the tourism value chain being interconnected,” he said.

“From cruise lines, to other operators and, in particular, to airlines, everyone has huge losses, with drops between 45 per cent for air carriers… and 70 per cent for hotels and restaurants,” he explained, according to Lusa.

Santander estimated that the crisis “is reflected in high unemployment” in the sector at European level, adding that “losses of 10 million jobs in Europe may be at stake if the situation continues in the coming months.”

Most affected, according to the ETC director, will be “the countries where the GDP is more dependent on tourism, as is the case of Greece, Portugal, Spain and Italy.”

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